Evening Star Newspaper, June 10, 1933, Page 3

SPECIAL NOTICES. T NOT BE RESFO! FOR DEBTS tracted b than mysel! after June ;onlfl&'l. IA{\L ES BABm’l{uJTUV Cllgltol ave. n.e . LONG-DI MOVING BETWEEN ALL Dm‘!‘l‘u‘ 1896." Da- Eastern points. “Service since vidson's Transter & Storage Co. 1117 st_n.w. NA. 096 - Treasury Department Office of the Comptroller of the Currency Washington. D. C. May 29. 1933 Notice is hereby given to all persons who may have claims against “The Commercial National Bank of Washington.” District of Columbia, that the same must be presented to Robert C. Baddwin, Receiver, with the legal proof thereof within three months from this date or they may be disallowed. ‘T. O’CONNOR, Comptroller ‘of the Currency. WE WILL SELL. AT AUCTION. AT OUR lace of business. on June 12. 1933, one armon coupe. motor C. P. 016 U, and one Buick Roadster, motor 1506688. ‘for age charges. EMERSON & ORME. and M sts. n.w. s THE ANNUAL MEETING OF THE STOCK. holders of the American Fire Insurance Co. stor- 17th of D C. and the election of nine (9) trus- | tees for the ensuing vear will be held at the office of the company, No. 511 7 street n.w.. on Thursday, June 15th. 19 a: 11 o'clock a.m. Polls ‘open from i1 a. to 1 pm. GEORGE M. CHAMBERS the world. Complete $65 up. 6 chapels. hearses and ambulances, s} i BRENTELLE STUDIO 1317 F ST. N.W. Under New Management All coupons purchased before March 1st. 10333, must be redeemed by July 15th. ROOFING—by Koons It you have a leak to repair or a new | roof to apply, send for us. We have every | facility for thorough work. Estimates free! ROOFING 933 V St. N. COMPANY North 4 EMMERICH, Secretary. is_one of the larg- est undertakers in funerals as_low as 12 parlors, 17 cars 5 undertakers and New Morgan Lists Johns-Manville Stock Of- fered Two Groups at Bargain Prices. (From the 5:30 Edition of Yesterday's Star.) TAX CHANGES SEE RESULT OF NQURY Criticism” of Clients as Sen- ate Probe Comes to Close. (Continued Prom First Page) | illusion that we are much more power- ful than we are.” In answer to further questions, La- mont said the “Morgan fortune has never been regarded as one of the great ones,” a fact which “in itself will an- swer some of the things that have been said about us.” Costigan turned the questioning to concentration of wealth. “I think,” Lamont said, “that an ex- amination of the distribution of the as- sets of industries and corporations for the last several years will show—save for the depression years—that wealth is getting to people of the country—is being diffused.” Long Questions Lamont. Senator Huey P. Long of Louisiana asked permission to interrogate the elder Lamont at the afternoon session and strove in a vigorous series of ques- W. | tions to determine whether the Morgan | Were such as more than to wipe ou firm, or Lamont, had anything to do with an attack upon Long in Colliers, a magazine published by the Crowell Pub- lishing Co. “I know mnothing about it,” Lamont |smiled and that was the net result, although the questions and answers went on for 30 minutes. The Louisiana Senator professed to mont is a director in the Crowell Pub- lishing Co. _Out of Long's rapid series of ques- tions came information that John C. | Marting and the late Cyrus H. Curtis By the Associated Press. The list of persons sold Johns-Man- | ville stock in 1927 2t $57.50 a share by | J. P. Morgan & Co., when the market | price a little later was $78, follows: | Walter H. Aldridge, 1,000; George F.| Baker, jr., 5.000; Sosthenes Behn, 1,000; | Stephen Birch, 1,000; Cornelius N.| Bliss, 1,000; Edward F. Carey, 1,000; | Arthur C. Choate, 1500; Patrick E. Crowley, 1,500; Norman H. Davis, 500; Drexel & Co., 250; Giovanni Fummi, | 500; Philip A. S. Franklin, 500; Har- | vey D. Gibson, 500; Walter S. Glflcrd,‘ 1,500; Reginald Halladay, 500; Albert H. Harris, 1,200; Charles Hayden, 500; | Charles D. Hilles, 1,000; Cornelius F.| Kelley, 500; Lamont, Corliss & Co., 1,000; 'John’ McHugh, 300; Donald R.| McLennan, 250; Charles E. Mitchell, | 1,000; George K. Morrow, 2,500; John | E. Oldham, 1,000. Daniel E. Pomeroy, 500; William C. Potter, 2,500; John W. Prentiss, 500; Seward Prosser, 2,500; John J. Raskob, 1,000; Samuel W. Reyburn, 1,000; W. G. Ross, 500; John D. Ryan, 1,000; Franz Schneider, jr., 1,000; Alfred P. Sloan, jr., 230; John A. Siephens, jr. 1,000; Silas H. Strawn, 300; Gerard Swope, 1,000; Myron C. Taylor, 1,000; Walter C Teagie, 5,000; William Boyce, Thomp- son, 1,000; Allen Wardwell, 4,000; J Dupratt White, 1,300; Albert Wiggins, 1,000; Sir Frederick William Taylor, 2,000; Garrard B. Winston, 250; Willlam | are much more in favor than the | ties, H. Woodin, 500; Clarence M. Woolley, | 1,000; Owen D. Young, 1,000. The group to whom the stock was sold at $47.50, the cost to Morgan & Co., | follows: | Alice M. Anderson, 8,500; F. D. Bar- tow, 8,500; Beech Corporaticn, 18,50 ‘Thomas Cochran, 26,200; Davison, 1,500; ,000; Martin Egan, 500; Frederick Ewing, 500; Maria E. Ewing, 200; William Ewing, 2,400; Wil trustee V. Ewing, Ewing, trustee for Jane Ewing, 600; ‘William Ewing, trustee for Jessie V. Ewing, 600. William Ewing, trustee for William Ewing, jr, 500; Thomas S. Gates, 10,000; Perry E. Hall, 500; Thomas S. Lamont, 1,500; Thomas W. Lamont, 10,000; H. G. Lloyd, 11,000; R. C. Lef- fingwell, 17,500. ‘Theodore F. Merseles, 35,000; Morgan et Cie, 10,000; Margon, Grenfell & Co., 15,000; Henry S. Morgan, 1,500; J. P. Morgan, 55500; J. S. Morgan, jr., 11,000; Anne S. Morrow, 1500; Con- stance C. Morrow, 3,050; Dwight W. Morrow, 14,000; Dwight W. Morrow, 1,100; Dwight W. Morrow, 700. Dwight W. Morrow, 700; Elizabeth C. Morrow, 4,000; Elizabeth R. Morrow, 1,500; Vernon Munroe, 250; Jane Ta: lor Price, 35; Charles Steele, 20,50 E. T. Stotesbury, 20,500; Francis F. Ward, 500, and George Whitney, 29,500. S INUTE YSTERY Can You SOIV!II. 4 Dr. Fordney is professor of criminol- ogy at & famous university. His advice is often scught by the police of many cities when confronted with particularly Try your wits on it! It takes but ONE MINUTE to read! Every fi every clue necessary to its solution in the story itseif—and there is only one an- swer. How good a detective are you? Class Day. BY H. A. RIPLEY. ITH a cynical smile on his é“’ rather handsome face, Wallace Crittenden placed | the 3-cent stamp on the | envelope, sealed it, and sat back with a satisfied air. Heze was | real money. Blackmailing? ~Possibly, | but any one as stupid as that . . . Well, he needed the cash. Needed it badly. Thus was Crittenden’s con - science, if such it could be called, salved. “Dropping the Jetter in the mail box, which he was confident would bring_him $30,000 in the next 24 hours, he beckoned a cab and was driven to the resi- dence of Mrs. De Pyster, where a re- ception was being held in honor of George Eastman, the capitalist, and John Philip Sousa, bandmaster and composer. “Oh, yes, Crittenden had social con- nections. The very best. His dupe was at the party and having a gay time. Had his victim known of that letter, o TOSER “At _exactly 11:14 the lights went out and Mrs. Van Rensellear's diamond pendant was stolen before they were turned on again, four minutes later. “The police were called, every one was searched and yet the pendant was not discovered. Crittenden left the party two hours later with a complacent smirk on his face. The police! Bah! ‘“There you are, fellows,” said Prof. Quickly, now!” WHAT WAS WRONG WITH THE PROFESSOR'S STORY? See Solution on Page B-12. were part owners of the Crowell Pub- lishing Co. and that Marting was on one of the Morgan favored customer lists. More questions and then Senator Long came to the point. ““About the time that this hearing be- gan,” he said, leaning forward, “I said that the Treasury Department ought not wnbe dominated by the House of Mor- gan. Knew Nothing of Article. He was referring, he said, to the speech in which he called for the resig- nation of Secretary Woodin because the latter had been on a Morgan customer list, long before he took ojce. “Now why,” the Louisiana Senator asked, “did Colliers after that speech print a magazine article assailing me | and send proofs of that article to every member of Congress before it was pub- lished?” N “I haven’t the remotest idea,” Lamont said. “I have nothing whatever to do with the editorial policy of Colliers. I ntevielr read the article. Never heard of it There the matter stood, although Sen- ator Long hammered away for quite a | He gave up finally and left the | while. Toom. J. P. Morgan listcned intently to the exchange. He laughed heartily after it was over. Green Apples Made Red. In the eyes of the public, red apples green fruit, although in some instances one is just as good as another. Hav-| ing his attention called to this con- | dition, Dr. J. M. Arthur of the Boyce | Thompson Institute, gave the matter some investigation. It seemed to be| evident that light had something to| do with the coloring of all fruit. Dr./ Arthur experimented with rays of dif- ferent hues of wave length. He dis-| covered that ultra-violet rays given ! off by a mercury arc at a distance ol“ 16 inches reddened picked green ap-| ples in 40 rs. Pruit which has| been stored does not turn red, probably | because the responsive cells in the | peel die. Turbine Fin Being Tested. The turbine fin, a novel means of| ship propulsion, has been invented by | Albert Dear, a dentist, of Melbourne, Australia. It is a new type of pro- peller, and is said to reduce the amount of waste energy of the usual methods | of propelling ships by 50 per cent. It will be fitted to the auxiliary yacht Oimara_before she starts from Mel- bourne for Europe. Congress Record Many Important Laws Passed —Others in Final Stages. By the Associated Press. Congress, on the verge of adjourn-' ment, had this record for the Roose-| velt program to look back upon today: | New Laws. Emergency banking and gold regu- lation. Inflation authority for President. Gold clauses in cor*:_uis canceled. Federal expenditure retrenchment, veterans funds slashed. Farm relief, farm mortgage adjust- ments. Half billion direct relief granted. Muscle Shoais and Tennessee Valley | development. Civilian crops. 3.2 beer legalized. Federal-State employment set-up. Awaiting Presidential Signature. Railroad reorganization. Small home mortgage adjustments. Gasoline tax, postage cost reduction, power taxation. In last congressional sfage: Appropriation bill carrying compro- mise on veterans’ compensation, House ret;dy to act. nsurance company relief bill, Senate final decisian.y e Industrial control-public works, pass- ed by Senate last night, disagreements being reconciled in conference with House. Glass-Steagall bank reform, in confer- ence, but agreement not likely. Passed by House, but Senate not acted on: Farm credit consolidation. Municipal and corporate bankruptcy relief. Arms embargo authority for Presi- dent. St. Lawrence power allocation. Bill enabling appointment of non-resi- dent to govern Hawaii. If adjournment is obtained tonight, probably all of them except the farm bill will be put off to January. conservation employment system | Relief From Heat For Incurables Is Urged by Officials Officials of the Home for In- curables, Wisconsin avenue and Tilden street, today appealed to ‘Washingtonians who are leaving the city for the Summer, to lend thejr electric fans for the relief of the patients at the home. ‘There are 137 patients at the home, it was pointed out, unable to get away from the heat which has made the city uncomfortable for days. ents who are leaving the city, and who wish to let the home use the fans, ma; Perhaps you have hlumnry or problem would like to sul to Prof, Ford- ., If 80, send it to him, care of this paper. He will be delighted to receive it. call the home and the fans wi be called for. The number is Cleveland 3720. J. P. Morgan Hits “Unfairi see a connection in the fact that La-, | | THE EVENING Morgans’ Returns of By the Associated Press. | text of the statement issued | late yesterday by J. P. Morgan at the conclusion of the Senate | investigation into his banking firm follows: As the hearing draws to a close we | desire to thank the committee for its | patience and courtesy and to make a | brief_statement upon certain _points | which, we believe, are not yet fully "clear.. The first point relates to the matter of income taxes. | Income taxes—The precise fact as to | {our payment of income taxes seems to | have been misunderstood by a portion | ' of the community. Since 1917 the part- | ners of our firm, as stated, paid upward | of $51,000,000 in income taxes. In the| three years 1927, 1928 and 1920 our in- | come tax payments exceeded $22,000,- | 000. In 1929 alone they were approxi- | mately_$11,000,000. | In all these cases a substantial part | of the taxes paid by us were due to net | capital gains which, under the law, had | to be added for income tax purposes to_our regular income. In the years | 1930, 1931 and 1932 our capital iosses | (deductible under_the law, just as previously the profits had been added) | all our_income and leave nothing tax- | lable. Income taxes are after all pay- | able upon income and not upon deficits. | Fail to Realize Heavy Losses. | We trust these facts will now be clearly understood, because at first blush there can be no doubt that many | persons, failing to realize that during| prosperous times we had paid heavy | taxes upon our profits, felt it to be un- just that during the last three years we have paid no income taxes; again | failing to realize that our losses had more than wiped out our taxable in- come. The second point upon which we wish | to cOmment relates to our conduct of | certain features of our security busi- | ness | Investment securities—As investment | bankers we are merchants of securities, and our normal business in that field is the bond business. In the post-war period we have issued upwards of $6,- 000,000,000 of bonds, together with a {very few preferred stocks. A third of |the bonds have already been paid off and retired. Little more than 2 per |cent thereof are in default, and none {of our foreign bond issues has defaulted in payment of interest or principal. We !issued no loans for Central European | countries except two important interna- tional reconstruction loans each for | Germany and Austria. The only out- | ! standing South American loans we is sued were those for the Argentine Ré- public. Of our domestic issues the | greatest single category consists of | |bonds of American railroad companies |issued with the approval of the Inter- |state Commerce Commission within | price limits determined by \t. Have No Salesmen. | Such investment securities we offer {to the general public over our name. | Here we receive a limited compensation | averaging approximately !> per cent, an average which applies to our foreign as well as our domestic loans. We have no salesmen and for the underwriting 'and distribution of investment securi- we enlist the co-operation of banks and dealers. Financing of common stocks. ~The | whole amount of the common stock | financing done by us during the post- war period does not exceed 3 1-3 per | cent of the total amount of invest- | ment securities we issued in the period. | Despite, however, the small propor- tion of our securities business which this type of financing represents, it will ap- pear that these few transactions have largely occupied the attention of these hearings. ; ‘The provision of the new equity cap- ital, or the distribution of large holdings of common stock, is a useful and neces- sary operation. Specifically, we belive in the future of the Alleghany Corpora- tion( as a step toward ultimate consoli- dation of valuable and coherent railroad properties under the policy laid down in | the transportation act of 1920. We be- | lieve in the United Corporation, as offer- ing a composite and diversified minor- ity investment in homogeneous and non- competitive public utility properties. We believed in Standard Brands, as fur-| nishing a logical grouping of products | salable by daily delivery. We believed in Johns-Manville, as an admirable and tested business, long, well and favorably | known to us. Invited Individuals to Buy. However, as merchants of investment securities of established character, we do not consider that it is sound prac- tice for us to offer common stock over our own name to the general public | through banks and dealers. Consequent- ly, in the few equity operations which we undertook, we invited to join us, not primarily institutions and dealers who distribute investment securities to the general public, but individuals cap- abie of sharing and understanding the risk, and with one minor exception we asked them to join us in the stock pur- chase at the same price that we paid. | It would not have been prudent bank- | ing to keep all these common stocks in | our own portfollo. We wished, there- fore, to sell part of them as a business man’s investment to those having knowldege of business and general con- ditions, who would understand exactly what they were buying and who, as | joint venturers, would share with our- | selves the profit and the risk of the | stock purchase. | Prices.—With one minor exception we offered these stocks at the same prices at which we had purchosed them; that is to say, at prices which were con- | sidered fair by the corporations and individuals from whom we -purchased. We, too, considered these prices fair. Speculative market quotations did not enter into our calculations. As a mat- ter of fact, in most instances there was no stock in existence and no market for the stock at the time the sales price was determined. The narrow |and speculative market existing in one or two cases formed no basis for a fair valuation. In the Alleghany case much | has been made at this hearing of the | “when issued” market, which sprang | up after we had fixed the price at| which we would sell the stock, but| about the time a few of the offers| were made. As a matter of fact, at the same time 500,000 shares of the stock were offered publicly at $2¢ a share, & far better indication of the market value of the stock than the narrow and speculative “when issued” market. | Wouldn’t Advance Price. No responsible banking house would change the issue price from day to day to reflect “when issued” market quota- tions, or would advance the price against a subscriber because of some slight delay in his receipt of the offer of sale. Every successful issuer, from the Government of the United States down, has the experience of seeing its issues quoted above the issue price while the offering is still open, and cer- tainly before the date for payment by subscribers is reached. It is not the practice of responsible bankers and dealers in pricing a new equity issue to charge all the traffic will bear—it would be inexcusable to do so in an inflation market such as prevailed in 1929—but rather to name a fair price (based on actual and expected earnings, not spec- ulative market quotations), and stick to that price with all those invited to subscribe to the original issue, whether public or private. It is true that the failure of the then Federal Reserve Board to take the nec- essary measures to control the inflation in time encouraged the speculative frenzy, which carried the market quo- tations out of bounds—so that they were too high in 1929 and too low later. Only ignorance of good business prac- tice could explain the suggestion that, in naming what we thought a fair issue Banking Firm Calls Lists, Loans and Offerings ¥ Legitimate Business—Defends Tax STAR, WASHINGTON. D. C, Statement ‘ Members. frenzied “when issued” quotat'on, we were doing anything but ac.ering tc the only possible rule of fair business dealing. i Not Chosen for Political Standing. | Customers’ lists. Our lists of private subscribers were naturally composed of men of affairs and position, but they were selected because of established | business and personal relations, and not because of any actual or potential polit- jeal relations. We have never had oc- casion to ask for favors from legislators or persons in public office, nor have we | ever done so. We conduct our business through no means or measures of “in- fluence” or favor. We rely upon such confidence as our clients and the busi- ness community generally may repose us. ‘The same is true of our loans to per- sonal clients. It has never before been considered wrong to borrow money or | to lend it. Our loans were to men of | high standing against ample security. The unprecedented depreciation in se- curities which has since occurred has caused certain of the borrowers heavy | losses, against which we have created | ample reserves. | It seems extraordinary that, after 70 | years devoted to building up a good Il which has made it true that our | clients are men of affairs and of lead- | ership, we should be taken to task for | perfectly sound, honorable and straight- | forward business transactions with them, simply because chance has| brought some of them into high office and mischance has impaired the for-| tunes of others. Feel Criticism Deeply. It has never during the firm’s exist- ence been thought discreditable to be a_customer of J. P. Morgan & Co,, whether as a depositor, borrower or sub- scriber. We protested vigorously against the breach of what we have always assumed to be the confidential rela tionship of the banker and his cus- tomer. The result of this action has | been an unwarranted criticism upon | our customers. This unjust criticism we feel deeply. Banking—Our banking business is| our principal business. As bankers our first duty is to protect our depositors, and we do so by keeping ample re- serve in cash and in United Sta Government securities. We do not mingle investment business and our banking business, but keep our depogits separate and fully protected by strictly banking assets. We have always disapproved of the practice of making call loans “for others,” and with the exception of a few isolated cases have not practiced it. We have not approved the practice | of indiscriminate competition for de- posits. In 1918 the New York Clear- ing House banks and ourselves took the lead in suggesting that deposit rates be adjusted in a definite relation to the Federal Reserve Bank rate. This agree- ment among the clearing house banks put an end to the wasteful and dan- gerous practice of buying deposits in competition with one another and no doubt contributed to the liquidity and soundness of the general banking sit- uation in New York City in these try- ing times. Ready to Be Examined. Statements of condition. We have been in the habit of furnishing a state- ment to the Federal Reserve Bank of New York since soon after the Federal Reserve System was organized, and are ready to be examined by the Federal Reserve Bank at any time and as often as my be desired. We do not approve private bankers publishing their state- ments, because such publication tends to advertisement and solicitation of de- posits from the general public. But the question does not greatly interest us one way or another. Our business comes to us because our depositors, relying upon a banking experience covering more than three generations, put more faith in our | banking reputation, our resources, and | our methods of doing business than | they put in the work of bank exam- | iners, or even in the not always illu- | minating published statements of in- | stitutions. M. E. REPORT ADOPTED Baltimore Conference Favors Fair Trial for Scottsboro Prisoners. BALTIMORE, June 10 (#).—The Baltimore annual conference of the Methodist Episcopal Church yesterday | adopted a report of the social service“ commission which included “the hope | that the trials of the Negro lads at Scottsboro may be safeguarded from every suspicion of prejudice and un- fairness.” Other items in the report included a regret “that the act repealing the| ‘Jim Crow’ legislation failed to pass the Maryland Legislature. NSPECTOR WILLING rose with an exclamation of pleas- ure at sight of his visitor. “Hello,” he said cheerily to United States Deputy Haines. “What brings the big shot Federal detective to our quiet little ham- let?” Haines shook hands. “Just —the widow would keep it for sentiment. dropped in to make a pinch. One of your local connivers played around with Uncle Sam and we are going to file him away for fu- ture reference. This yegg has the funniest racket since the days of thé\ lightning rod salesmen.” “Well, I've heard them all” Willing said. “Which is jt?” “You never heard this one. This These exposures of rack INCENDIARY BLAST | LS8, URES 5 Celluloid Plant Blows Up, Hurling Firé-on Bathers. Others May Die. By the Associated Press. 1 NORTH ARLINGTON, N. J. June| 10—With the toll of the disaster tem- | porarily fixed at 8 dead, 5 missing and at least 75 injured, preliminary investi- gation into last night's celluloid plant explosion developed evidence, police | said, pointing to incendiarism and in- | dustrial warfare as the cause of the holocaust. i John E. Guidetti, Bergen County prosecutor’s detective, announced clues of incendiarism had been found in the wrecked plant of the Atlantic Pyroxlin Waste Company’s plant, and told of being informed of threats of reprisal | made against the operator of the plant | by business rivals. Alex Scheinzeit, the operate of the | business, ' was_being held on charges | of technical manslaughter. i Two Ordered Arrested. Guidetti’s announcement was fol- | lowed by orders for the arrest of two Elizabeth, N. J., men as material wit- nesses of the disaster. The names of the men sought were not disclosed. Guidetti said he had learned that Scheinzeit had been warned recently by business rivals that a “bitter fight” was in the offing to determine which would stay in business the longest. While authorities pressed their in- vestigation, the possibility of an in- creased death toll loomed. Three vic- tims in St. Michael's Hospital, New- ark, were reported in a very grave con- dition. In the West Hudson Hospital were three more injured, conceded only slight chances of recovery. Search for Other Bodies. Firemen began a renewed search at dawn, fearing more bodies would be found in the burned houses or in the Passaic River, where bathers fled to escape the flames. At least two of the dead are children. ‘The heat had brought scores of bath- ers to a small bathing beach near the plant of the Atlantic Pyroxylin Waste Co., dealers in scrap celluloid. As dark- ness descended, men, women and chil- dren lingered, splashing in the water. Suddenly—an eye-witness, John Jack- son, said—there was a roar and flames shot upward 200 feet. Burning debris and flaming celluloid fell in showers. New sheets of fire shot outward. Shrieks ! of people in houses nearby were echoed by the screams of bathers as the flames struck them. Plunge Into Water. Scorched or severely burned, their | bathing suits aflame, many of them plunged toward the river as a sécond | explosion shattered the night. It was the blast of a gasoline tank, spattering fire anew, enveloping a garage and a parked car. Several women, already badly burned by blazing clothing, were seen to dart into the water. Mrs. Margaret La Tone SATURDAY, JUNE 10, 1933. Appointed BASIL MANLY. ROOSEVELT FILLS COMMISSION POSTS Basil Manly Named to Power | Berth, R. B. Stephens to Trade Portfolio. The membership of two commissions | —Power and Trade—whose operations are expected to figure importantly in the Roosevelt administration, yesterday was completed when the President ap- pointed Basil Manly of the District of Columbia to the former, and Ray- mond B. Stephens of New Hampshire to the latter. ‘The Power Commisison has jurisdic- tion over hydro-electrical developments on the country’s waterways, while the Trade Commission is adding to its other duties, supervision of securities issues. These two appointments were in a large group submitted for Senate ap- proval, Mr. Manly, an economist, has resided in Washington the past 25 years, and has directed a number of investigations for the Government involving labor matters. His home is at 1855 Irving street. ‘The other appointments included: John J. Blaine, former Republican Senator from Wisconsin, and B. Merriam of Kansas to be members of the Reconstruction Finance Corporation Board. Russel Hawkins of Oregon to succeed Merriam on the Home Loan B: Board. Vincent Dallman of Illinois to be a mt?mber of the Railroad Board of Medi- ation. John H. Fahey of Massachusetts to be a member of the Home Loan Bank was seen trying to swim the river. A flaming chunk of wood hit her. She sank and was drowned, police said. List of Dead. ‘The others on the list of dead were: Mrs. Joseph Klitch, 49. Her daughter Mildred, 13. George “Dale, 63. Mrs. George Dale, his wife, 61. - Susan Appleyard, 33. Lillian Appleyard, 3. Thomas Molinosky, 22. Firemen, arriving from seven towns, found a scene of horror. In the light of the flames screaming women ran up and down the beach, seeking lost children. Dying and injured were moaning. Police Capt. Neil Barrett sent men to stores to requisition all the salves, unguents and first-aid kits: they could find. Two dozen people were sent to hospitals, while more than 40 others received first aid on the spot. No estimate of the damage was given, but it was believed to be more than $100,000. Mrs. Klitch, whose husband owns the building housing the celluloid works, died with her daughter in a hospital. The Dales died in one of the seven burned houses. WILL STUDY EXPLOSION. Government Expert Goes to New Jersey | To Probe Factory Blast. By the Associated Press. Dr. David J. Price of the division of chemical engineering, Department of Agriculture, left today for North Arling- ton, N. J, to make an investigation of | explosions in a celluloid plant there last night which resulted in the death of eight persons. Dr. Price intends to make a study over a period of several days. ifrs a racket- By James E. Grant bandit bought a lot of flashy cheap watches and sold them to dead men for 20 times their cost.” “Dead men! You're crazy; how can you sell anything to a dead man?” - “Listen; this fellow got the obitu- ary notices from all over the coun- try. He would have the dead man's name engraved on the | | watch and mail it to him C. O. D. The watch generally arrived before the funeral and the widow would keep it for sentiment.” “Whew. Thet is a new one,” the inspector said. “Must be a smart fellow.” “Yeah, he will be appreciated at Leavenworth. Lots of smart boys there.” ed to advise and protect the public. (Copyright, 1933.) price and sticking to it in spite of a Board. Jewell W. Swofford of Missouri to be a member of the Employes’ Compen- sation Commission. The following were nominated to be collectors of internal revenue: Thomas K. Cassidy of Gillette, for Wyoming; John C. Bowen of Seattle, for Washington; Will H. Smith of Indianapolis, for Indiana; Ralph Nich- olas of Fort Collins, for Colorado; Fred C. Martin of Bennington, for Vermont; Alexander S. Walker, for first district of Texas; William A. Thomas of Dallas, for second district of Texas; Robert M. Cooper of Wisacky, for South Caro- lina; Steven P. Vidal of Gallup, for New Mexico; Harry D. Baker of Wich- ita, for Kansas; Henry Clifford Jones of Carnegie, for Oklahoma; Charles D. | Huston of Cedar Rapids, for Iowa Harold H. Robertson of Hillsboro, for North Carolina. { The following collectors of customs ‘were nominated: John O'Keefe of Cavalier, at Pem- | bina, N. Dak.; Pred C. Pabst of Galves- ton, at Galveston, Tex.; Joseph H. Lyons of Mobile, at Mobile, Ala.; Verda Allison Wright of Huntington, at Memphis, B’I&g&n and Joseph Maynard, at Boston, Admiral Standley Named. Admiral Willlam H. Standley was recommended to be chief of naval operations, while William L. Slattery of Massachusetts _was proposed as (con- troller of the Post Office Department's Bureau of Accounts. Meanwhile, Democratic opposition to one of President Roosevelt’s appoint- ments developed in the Senate, where Senator Stephens of Mississippi unloosed criticism at Harcourt A. Morgan, presi- dent of the University of Tennessee, se- lected to help direct the Muscle Shoals- | Tennessee Basin project. Stephens’ opposition, which forced re- consideration of confirmation once given by a voice vote, led to an agree- ment to take up the Senate’s executive calendar at 2 p.m. today and start vot- ing ‘:y 3 o'clock on Morgan and others i on it. Stephens, in objecting to Morgan, as- | serted “I don't believe Franklin D. Roosevelt is dealing fairly and justly | with that section of the country.” Hits “Brain Trust.” “Morgan is a college professor,” Stephens went on. “In my judgment the weakness of this administration is that they have gone out and appointed too many college professors who have never done a thing except read a book and study theory.” He and McCarran, Democrat, of Ne- vada, wanted Morgan's nomination held up for inquiry, but McCarran withdrew his insistence for delaying action and agreed to take up the name today. Senator Norris, Republican, of Nebras- ka, Senate champion of the development program, appealed for confirmation, as- serting that until the places on the directing board were filled, it could not function. The nominations of M. S. Szymezak of Chicago and J. J. Thomas of Nebras- | ka, to be members of the Federal Re- | serve Board were approvad today by the Senate Banking Committee. Nominations of Harry D. Baker and Henry Clifford Jones to be collectors of | internal revenue for Kansas and Okla- | home, respectively, were approved by the Senate Finance Committee. The Senate Judiciary Committee yes- terday approved several Federal mar- shals and attorneys and reported out these three appointees: Assistants At- | torney General: H. M. Stephens of Utah, Willlam Stanley of Maryland and F. J. Wideman of Florida. A committee also reported out the name of Walter H. Newton, former sec- retary to President Hoover, to be a member of the Federal Home Loan | Bank Board. WOMAN SAYS RANCHER URGED RENO DIVORCE By the Associated Press. LOS ANGELES, June 10.—Testify- ing under cross-examination in the $50,000 alienation of affections suit brought by her husband, Mrs. May Mil- ler of Miami, Fla., said yesterday that | Ben C. Kohlmeier, 40-year-old River- side, Calif., rancher, one of the de- fendants, had promised to take her to Reno and get her a divorce. Frank Miller, a Florida automobile dealer, brought the suit against Kohl- meier and his stepmother, Mrs. Ida P. Kohlmeier, Mrs. Miller's aunt, charg- ing them with attempting to persuaie her to divorce him. In answer to the question from Kohl. meier’s attorney, Mrs. Miller raid: “Kohlmeier told me he loved .me and said, he would take me to Reno and #e a>divosce for me." | ward Khabarovsk, Siberia, today, and | over the Atlantic on a flight to Havana. ank | set by Harold Gatty and Wiley FAR BEHND RECORD Nears End of Russian Hop.' Spaniards Hop Off for Cuba. By the Associated Press. Jimmie Mattern, intent on setting up fast record on the first solo flight around the world, pointed his plane to- a subsequent transpacific hop. ‘Two Spaniards, Capt. Mariaro Bar- beran and Lieut. Joaquin Collar, were Cuba, after leaving Seville, Spain, at 11:45 pm., Eastern standard time Friday. In Orbetello, Italy, final preparations were bging rushe for the mass flight of more than a saoie of planes to Chi- cago, by stages, Wpder the supervision of Air Minister B:loo. Capt. James A. Mollison and his wife, | the former Amy Johnson, hurried re- | pairs to their plane. damaged this week | during the take-off for an atempted flight to New York from London. J. Erroll Boyd postponed his projected | non-stop flight to Port au Prince, | Haiti, today because of unrlvornhlel weather conditions. The takeoff had been set for 1 p.m. Eastern standard time. After the Weather Bureau reported storms all along the route the postponement was announced and the takeoff was tenta- tively set for tomorrow afternoon. MATTERN NEARS PACIFIC HOP-OFF | Expected to Complete Russian Flight This Afternoon. MOSCOW, June 10 (#)—Flying the last stretches of his voyage across Rus- sia today, Jimmie Mattern hoved to make Khabarovsk, from where he will hop off for the North American con- tinent. Although he was unreported in Mos- cow after passing Irkutsk early this morning, he should have met fair weather conditions over the entire route into Khabarovsk. Apparently this afternoon he was flying fast toward his destination. The Weather Bureau here said he would encounter fair to cloudy weather, with some local rain, but not fog, and light, variable winds. The American aviator's hopes for a new around-the-world flight record were apparently shattered today, but the plucky flyer continued his battle with time confident he could establish flight around the globe. 1:50 a.m. Moscow time (5:50 p.m., Fri- day, Eastern standard time) and passed over Irkutsk, about 50 miles to the east, exactly 40 minutes later. He was considerably behind the pace Post, who, in 1931, circled the globe in 8 days 15 hours and 51 minutes. Gatty and Post left Irkutsk when they were 3 days 22 hours and 14 min- | utes out of New York, but Mattern flew | over Irkutsk 6 days 13 hours and 9 min- utes after leaving New York. With favorable conditions Mattern may be able to make the 1,370-mile jaunt from Irkutsk to Khabarovsk in | about 10 hours, arriving at the jump- ing-off place this afternoon. For Post and Gatty the lap brought difficulties, for their plane was mired in a fog for 14'2 hours at Blagovestchensk. At Khabarovsk they were delayed more | than a day, but they spent just 19 hours and 14 minutes on three after an outstanding mark fog the first solo | Ul The Texan left Beloye, Siberia, at|al - hJ STOCK GETTING LOW Treasury Officials Consider- ing Proposal to Boost Out- put of Distilleries. | By the Associated Press. With the country faced with & pos- sible whisky shortage, Treasury offi- cials today were said to be considering a proposal to increase production by distilleries. No specific reports have been re- ceived since the liberalization of the medicinal liquor laws last month, but Dr. James M. Doran, commissioner of industrial alcohol, said preliminary surveys indicated there had been a severe drain on present stocks. In addition, he said, if the prohibition amendment should be repealed, there was a possibility that it would be sev- eral years before American distilleries could begin i@ meet the demand. Doran Predicts Repeal. istration has exerted for early ratifica- tion of the repeal substitute for the eighteenth amendment and the quest for additional revenue, Doran said: “I can see nothing in the signs to in- dicate that repeal will not come during the Winter. “If it does, we have a definite prob- lem on our hands and I have recom- mended to the Treasury that additional distilling be considered shortly.” At the Treasury, it was said the matter had not been inquired into thoroughly vet. Last month, when modification of the medicinal liquor laws became effective, there were upward of 4,500,000 gallons of pre-war spirits in warehouses, be- sides 6,000,000 gallons which will begin to mature in the Fall. Made Since 1929. ‘This latter amount has been manu- factured since 1929 when a few distil- lers in Kentucky, Pennsylvania and Maryland were licensed with definite quotas. The normal aging time fixed by the Industrial Alcohol Bureau is four years, so this is not available for use yet, al- though bottling will begin next month. Doran expressed some doubt whether, at the present rate of consumption, the rate of production would meet even the prescription demand. Whereas before the law was altered a physician was limited to a pint a wek per patient. there is now virtually no restriction n the amount prescribed and the physician does not have to specify the Iment. As compared with the quantity now in warehouses, the Alcohol Bureau pointed out that before prohibition there was usually about 300,000,000 gal- lons in bonded warehouses and con- sumption of distilled liquors ran some years as high as 90,000,000 gallons. More Difficult Than Beer. Doran said that should repeal come - this year there would be a more difficult situation than that presented by the legalization of beer, because while beer could be aged in a comparatively short period, it required years to produce good whisky. Distillers | their transpacific hop from Khabarovsk | to Nome. SPANIARDS OVER ATLANTIC Attempting Non-Stop Flight From Seville to Cuba. SEVILLE, Spain, June 10 (#).—Two Spanish aviators, Capt. Mariano Bar- beran and Lieut. Joaquin Collar, were far cut over the Atlantic today on a flight to Cuba. Their departure at 4:45 a.m. today (11:45 pm. E. 8. T. Friday) from Tab- lada airdrome was attended by great enthusiasm, not the least welcome of their many well wishers those who brought reports of good flying weather. From Havana they planned to pro- ceed directly to Mexico City. Cuban and Argentine consuls and Argentine aviation officers and numer- ous friends and relatives were present at the takeoff. At 4:15 o'clock Capt. Barberan and Lieut. Collar entered their plane, dressed coats. They waited until 4:40 until they started their motors, and five minutes later they were on their way. Several planes from Madrid escorted them to the sea. The Cuatro Vientos carried nearly 1,500 gallons of gasoline, navigation apparatus, and leiters to Havana from the Cuban consul. The last weather reports from Havana before the take-off said the weather was good on the other side of Atlantic, with a little wind. HOWE RADIO SPEECH SCORED AS UNETHICAL Vandenberg Assails President’s Secretary for Address Criticizing Senate. By the Associated Press. The ethics of Louis M. Howe, secretary to President Roosevelt, in making a speech to the country against a stand taken by the Senate, and getting paid for it, were debated in the Senate yes- terday. Senator Vandenberg, Republican of Michigan, discussing the speech, said two ethical questions were involved: “PFirst, that the secretary of the President of the United States goes on the air in an attack upon the Senate of the United States. “Second, that when he attacks the Senate, he is introduced as. the secre- tary to the President and he is reim- bursed—at the very moment he is pleading for economy— at the rate of §.00 a minute.” Senator Robinson of Arkansas, the Democrat leader, wanted to know what business it was of the House or Senate. ‘The speech to which they referred was made last Sunday night and as- by the Senate on the veterans. PLANS SPECIAL RITES Floris Grange to Mark “Rural Life Sunday” Tomorrow. Special Dispatch to The Star. FLORIS, Va., June 10.—“Rural Life Sunday” will be observed by the Flcris Grange at the M. E. Church, South, to- morrow at 11 am., with a sermon by Rev. D. N. Brown of Herndon. Dr. Meade Ferguson, master of the State Crange, of Richmond, Va., will ad- dress the meetting; B. W. Middleton of , & past master of will also speak, having for his subject, :i:r?rd Steps for Rural Churches,” sailed the 25 per cent limitation placed | 1, resorted to undoubtedly if necessary for other than medical pur- ! poses. ‘Ten States have already-gone on rec- ord this year as fayoring repeal and Shouse, ment, has & possibility of 37 States voting before the end of the year. Prohibition leaders have contended, however, that repeal will be blocked the Southern States. SEMER T Ry INSULL TO ORGANIZE GREEK FUEL INDUSTRY Playwright Tells of Visit to For- mer Chicago Magnate in Athens. By the Associated Press. NEW YORK, June 10.—Reports that Samuel Insull would organize the Grecian fuel industry were brought back yesterday by Channing Pollock, the playwright, who visited the former Chi- the | Pollack SPECIAL BANKING HOURS FOR FEDERAL WORKERS Commercial National Will Be Open From 4:30 to 5:30 Through June 16. Government employes Who have de- posits in the Commercial National Bank of Washington were requested to- day by the receiver of the bank to take advantage of the special hours arranged for them from 4:30 to 5:30 p.m. on all banking days from June 5 through June 16. After June 16 regular banking hours from 9 am. to 3 p.m. will prevail for all of proving claims. A clerical force of sufficient size has been provided in the claim department to take care of the filing of all claims within the 90-day period allowed by law, and at the rate claims are now is questionable whether be filed within that time unless there is a late rush during the latter part of the period, it was an- nounced. promptly as possible to prove their claims. MRS. DICK IN RENO RENO, Nev., June 10 (@) .—Mrs. Astor the Grange, ! arrived Pointing out the pressure the admin- ° MATTERN WINGS ON MEDICINAL WHISKY